Task Trade between Similar Countries

We thank Aykut Ahlatçıoğlu and Shlomi Kramer for research assistance, Sebastian Benz, Gordon Hanson, Giovanni Maggi, Marc Melitz, Jens Wrona and Kei-Mu Yi for discussions and comments, and the National Science Foundation (under grants SES 0211748 and SES 0451712) and Sloan Foundation for research support. Any opinions, findings, and conclusions or recommendations expressed in this paper are those of the authors and do not necessarily reflect the views of the National Science Foundation, any other organization, or the National Bureau of Economic Research.